IL- January 17, 2013 – It is not possible to remove all the risks in investing
but there are ways for investors to reduce the risk and also educate and
protect themselves. Figures from the Better Business Bureau serving Chicago and Northern Illinois
show there is concern among investors. In the past 12 months there have been
over 7,000 inquires regarding Investment Advisory Services.
“Faced with loss of their
investment dollars, it is extremely important for consumers to educate
themselves before they make any investment decisions,” said Steve J.
Bernas, president & CEO of the Better Business Bureau serving Chicago and Northern Illinois.
“That is why the BBB and FINRA have joined forces to assist consumers.”
Working together the BBB and the
FINRA Investor Education Foundation can make available up-to-date research and
tools at the BBB Smart Investing website. This website can be used to
help understand the basic rights of the investor, the protections investors are
entitled to under the law, along with the common scams and frauds to avoid.
The BBB and Financial Industry Regulatory Authority
(FINRA) suggests these steps before investing:
· Check out the
seller. A legitimate investment professional must be licensed. Before giving
out your personal information, ask whether the seller is registered with FINRA,
the Securities and Exchange Commission (SEC)
or your state securities regulator. Find registration and other information on
individual brokers, securities firms and investment advisor firms at: http://www.SaveAndInvest.org/CheckSeller.
Ask questions. Are you licensed to sell
this investment to me? Is this investment registered with the SEC?
· Check out the
investment. Check whether the investment itself is registered. Confirm whether
a security is registered with the SEC and get access to a company’s financial
information by using the SEC’s EDGAR Database.
· Always check the business first. Check out the reputation of the investment company before
doing business with them. Check out free BBB Business Reviews for valuable
For more information and
consumer tips, visit www.bbb.org
As a private, non-profit
organization, the purpose of the Better Business Bureau is to promote an
ethical marketplace. BBBs help resolve buyer/seller complaints by means of
conciliation, mediation and arbitration. BBBs also review advertising claims,
online business practices and charitable organizations. BBBs develop and issue
reviews on businesses and nonprofit organizations and encourage people to check
out a company or charity before making a purchase or donation.